AIFM passporting in United Kingdom

1. EEA AIFMs

Following the expiry of the transition period in respect of the arrangements for the UK’s withdrawal from the EU on 31 December 2020. without agreement otherwise between the UK and the EU, all non-UK funds, including EEA AIFs, are be classed as third-country AIFs in the UK.

This means that EEA AIFMs that have not made use of the UK’s short term temporary marketing permissions regime in respect of the EEA AIFs they manage, will need (unless they are recognised under, s 272 of the Financial Services and Markets Act 2000, to comply with the UK’s National Private Placement Regime and the UK’s financial promotion rules (as applicable) in the same way as AIFMs based in non-EEA (third country) jurisdictions wishing to market third-country AIFs are already required to do.

A summary of the UK private placement regime can be found at [insert link to private placement guide].

The UK government is consulting on a new regime for overseas funds which will give the UK  Treasury the ability to determine whether a third country jurisdiction and funds established in that jurisdiction is equivalent to a UK authorised fund (these are funds which have been approved by the FCA for marketing to retail investors in the UK) in order that they can benefit from a simplified process to allow them to be marketed to UK retail investors.

2. Third country AIFMs

AIFMs based in third country jurisdictions wishing to market EEA and / or Non-EEA AIFs in the UK will be required to comply with the UK’s National Private Placement Regime, as well as the UK’s financial promotion rules as applicable.

3. Fees

N/A.